Breakoutwatch Weekly Summary 09/25/21

You are receiving this email because you are or were a subscriber, or have subscribed to our weekly newsletter. This newsletter summarizes the breakout events of the week and provides additional guidance that does not fit into our daily format. It is published each weekend.
Newsletter Archive:

Weekly Commentary
NASDAQ Shrugs Off China Contagion Fears and Investors Buy the Dip

The week started with fears that a possible default by Chinese property developer Evergrande would destabilize world markets adding to worries that a correction is near as debt ceiling and infrastructure talks appear close to failing. This led to a sharp drop in the markets on Monday, taking the NASDAQ to below the 50 day average. The threat to world markets was soon seen as exaggerated and investors saw another opportunity to buy the dip. The NASDAQ is now just 3% below its September 7 high. However, failure to raise the debt ceiling and the defeat of the Biden agenda by factions in his own party would certainly threaten the continued economic recovery as many of the programs that have supported the economy over the last 18 months have been, or soon will be, withdrawn.
The problems with the site over the last month are now mostly resolved and I can return to its continued enhancement. Please tell me if any functions are not working as expected.

Chart of the Week
The financial sector gained 2.2% this week after the Fed's statement on Wednesday said that "our interest rate and balance sheet tools is providing powerful support of the economy and will continue to do so".

This chart shows that Charles Schwab reacted positively to statement and could be poised to breakout on Monday.

SCHW Chart
New Features this Week

No new features this week
Strategy Suggestions
Our latest strategy suggestions are here.
Breakouts Summary by Watchlist for Week Beginning 09/20/21
List Breakouts Avg. Gain
CWH 9 2.19
SQZ 42 1.89
Breakouts Gaining at Least 5% for Week Beginning 09/20/21
Brkout Date Symbol Base Squeeze Brkout Price Brkout Day Close RS Rank* Last Close Current % off BOP Gain at Intraday High
2021-09-21 CALX SQZ y 47.41 47.6 92 52 9.68% 13.56%
2021-09-23 AER SQZ y 55.03 58.29 86 58.44 6.2% 8.03%
2021-09-23 EQBK SQZ y 31.92 33.6 89 33.67 5.48% 6.7%
*RS Rank on day before breakout.
CwH Stocks Likely to Close above BoP at Next Session*
Symbol Company Industry RS Rank Last Close BoP % off BoP
SCHW Charles Schwab Corporation (The) Capital Markets 88 75.59 76.00 99.46
SSBI Summit State Bank Banks - Regional 84 17.48 17.50 99.89
USIO Usio, Inc. Software - Infrastructure 96 6.28 6.67 94.15
TSQ Townsquare Media, Inc. Advertising Agencies 94 13.09 13.64 95.97
*These stocks were selected using our price breakout model. This model correctly selected CWH stocks that met or exceeded their breakout price with 80% probability over Jan. 2019 to Nov. 2020. This does not imply that on any one day, 80% or any of the stocks selected will meet or exceed their breakout price.
Top Rated Cup and Handle Stocks as of Friday September 24, 2021
Symbol BO
Company Industry RS
No stocks met our suggested screening factors for our Cup and Handle Chart Pattern watchlist.
See Revised Rules for Trading Cup and Handle Breakouts
Major Index Summary
Index Value Change Week Change YTD Trend1
Dow 34798
0.62% 13.7% Up
NASDAQ 15047.7
0.02% 16.76% Up
S&P 500 4455.48
0.51% 18.62% Up
1The Market Trend is derived from our proprietary market model. The market model is described on the site here.
2The site also shows industry rankings based on fundamentals, combined technical and fundamentals, and on price alone. The site also shows daily industry movements.
Best Performing Index
1 Week 13 Weeks 26 Weeks Year-to-Date
Dow Jones NASDAQ Composite
NASDAQ Composite
S&P 500
Best Performing Industry
1 Week 3 Weeks 13 Weeks 26 Weeks
Thermal Coal
Shell Companies
Most Improved Industry (by change in technical rank2)
Aerospace & Defense
Aerospace & Defense
Aerospace & Defense
Aerospace & Defense
Charts of each industry rank and performance over 12 months are available on the site


If you received this newsletter from a friend and you would like to receive it regularly please go to the site and you will then be able to register to receive the newsletter.

Copyright (c) 09/25/2021 Proactive Technologies, LLC dba All rights reserved.
" BreakoutWatch," the "eye" logo, and the slogan "tomorrow's breakouts today" are service marks of Proactive Technologies LLC. All other marks are the property of their respective owners, and are used for descriptive purposes only.

BreakoutWatch is not affiliated with Investor's Business Daily or with Mr. William O'Neil. Our site, research and analysis is supported entirely by subscription and is free from advertising.